Colorado Loans to Increase Mainstreet Business
Economic Resiliency (CLIMBER)
1600 Broadway, Suite 2500
Denver, CO 80202
Colorado Loans to Increase Mainstreet Business Economic Resiliency (CLIMBER)
Small Business Loan Program Oversight Board Meeting Minutes
April 3, 2025
11:00 a.m. – 12:00 p.m.
Meeting Participants
Board Members
Dave Young, Chair, Bonifacio Sandoval, Dianne Myles, and Azarel Madrigal.
Additional Attendees
Sam Taylor, Terrence Grady, Steve Boice, Harsha Sekar, Katherine Cantillo, Sonya Guram, Emily Buckley, Mary Wickersham, Jeff Kraft, and Virginia Davis.
- Meeting Called to Order
Dave called the April 3, 2025, CLIMBER board meeting to order.
- Attendance/Roll Call
- Dave Young, Chair
- Dianne Myles
- Bonifacio Sandoval
- Azarel Madrigal
- Malcolm Evans - Excused
- Minutes
Bonifacio moved approval of the minutes. Myles seconded the motion. The motion passed without objection.
- Interest Rates For Future Tranches
Sam presented an interest rates chart providing background and rationale.
1 | 2 | 3 | 4 | 5 | 6 | 7 |
Contributory Bank Rate | 2.00% | 2.50% | 3.50% | 4.00% | 4.50% | 5.00% |
1 - 2 year rate | 3.45% | 5.85% | 6.85% | 7.35% | 7.85% | 8.35% |
3 year rate | 3.60% | 6.01% | 7.01% | 7.51% | 8.01% | 8.51% |
4 year rate | 3.75% | 6.17% | 7.17% | 7.67% | 8.17% | 8.67% |
5 - 10 year rate | 3.90% | 6.32% | 7.32% | 7.82% | 8.32% | 8.82% |
- Staff is recommending approval of the rates in Colum, 6.
- Bonifacio made a motion to accept the staff recommendation and implement the rates in Colum 6 to be used in future tranches of funding subject to future oversight board changes in the rate. Azarel seconded the motion. Motion passed without opposition.
- Dianne Myles – Yes
- Azarel Madrigal – Yes
- Bonifacio Sandoval – Yes
- Dave Young - Yes
- Malcolm Evans – Excused
- Approval of Uncollateralized Loans
Underwriting small working capital loans is costly, but their smaller size means less lender income to cover overhead. Requiring collateral increases administrative costs and is often impractical for loans under $50,000. Removing this requirement allows lenders flexibility and could increase access to capital for very small businesses.
- Staff is recommending approval to authorize CHFA to allow lenders in the CLIMBER program to use their own underwriting standards collateralization of loans $50,000 and under.
- Bonifacio moved the board authorize CHFA to allow lenders in the CLIMBER program to use their own underwriting standards regarding collateralization of loans $50,000 and under. Azarel seconded the motion. Motion passed without opposition.
- Dianne Myles – Yes
- Azarel Madrigal – Yes
- Bonifacio Sandoval – Yes
- Dave Young - Yes
- Malcolm Evans – Excused
- Updates
Underwriting Standards
Sam provided a verbal update on underwriting standards and the process of best practices staff is focusing on for the program as it moves forward.
Rural Definition
Staff is working on defining rural for the program and will bring a recommendation to the board for action at the next meeting.
Fundraising
Staff is targeting the end of May for the launch of tranche three of funding. Staff is targeting the end of May. We are looking at bringing in three new bank contributors that have not been part of contributing capital to the CLIMBER program in the past. We’re looking at $6MM for the next round of funding.
- Public Comments
- Written Comments
- Alex Wise with CEDS Finance submitted written comment to the board regarding concerns in standards.
- Verbal Comments
- No verbal comments were made.
With all items discussed, the meeting was adjourned.